China bars Manus co-founders from leaving country amid Meta deal review, FT reports

Chinese authorities have imposed a travel ban on the co-founders of artificial intelligence startup Manus, CEO Xiao Hong and Chief Scientist Ji Yichao, preventing them from leaving the country. The move comes as the National Development and Reform Commission (NDRC) conducts a regulatory review of Meta's planned acquisition of the company, a deal valued between $2 billion and $3 billion. The executives were summoned to a meeting in Beijing this month, after which the travel restriction was imposed, though they remain free to move within China. Manus is reportedly seeking legal counsel to navigate the situation.

Meta announced its intent to acquire Manus in December 2024, aiming to integrate the startup's technology for developing general-purpose AI agents. These agents are designed to function as digital employees, capable of performing complex tasks like research and automation with minimal human prompting. The Chinese commerce ministry had previously indicated it would assess the acquisition, which is now under formal review for potential violations of national investment and security rules. A Meta spokesperson stated the deal "complied fully with applicable law" and expressed confidence in an appropriate resolution, highlighting the growing geopolitical tensions surrounding critical AI technology and cross-border tech mergers.